The market capitalization is $10.6 billion, and Carmax, Inc. (KMX) operates as a retailer of used cars and related products. Operated through two segments, Carmax Sales Operations and Carmax Auto Finance, the company offers a wide selection of second-hand cars through its network of stores and online channels across the country.
Companies worth more than $10 billion are generally classified as “large” stocks, and Carmax fits perfectly with this description. It also offers funding options, expanded service plans, and ratings to streamline your car purchase and sales experience with transparency and ease.
The Richmond, Virginia-based company’s stock has soaked 24.2% from its 52-week high from $91.25. KMX stocks have fallen 5.9% over the past three months, below the consumer discretionary Select Sector SPDR Fund (Xly) 5.5% increase.
In the long term, KMX strains collapsed 15.4% on a YTD basis, while Xly fell 3.9%. Additionally, over the past 52 weeks, Carmax shares have fallen 5.4%, lagging behind Xly’s 18.8% return.
Stocks have fallen below the 50-day moving average since late February and below the 200-day moving average since early March.
Carmax shares rose 6.6% after strong results were announced for the 2026 quarter on June 20th. The company reported revenue of $7.6 billion, up 6.1% year-on-year, exceeding Wall Street expectations. It also reported that sales of retail total used vehicle units increased by 9% to 230,210 in the first quarter, with comparable store sales increasing by 8.1%. Retail vehicle revenue increased 7.5%, while gross profit rose 12.8% to $893.6 million.
Meanwhile, the EPS was $1.38, reflecting a 42.3% increase from the previous year’s quarter, exceeding analyst estimates by 16.9%.
Penske Automotive Group, Inc. (PAG) outperforms KMX stock compared to peers. PAG stocks have skyrocketed at 16.5% on a YTD basis and 17.8% over the past 52 weeks.
Stocks are slowing down the sector’s performance, but analysts are moderately optimistic about the stock outlook. KMX Stock has a “moderate buy” consensus rating from 17 analysts covering the stock, and at the time of writing it is below the average price target of $80.60.
On the date of publication, Sohini Mondal had no position (directly or indirectly) in any of the securities mentioned in this article. All information and data in this article is for informational purposes only. This article was originally published barchart.com
